Sales Metrics Not Just About Measuring Productivity, but Creating Motivation

Most managers will tell you that the primary reason to use good sales metrics and sales management tools is to improve performance.

Good processes and metrics, the old idea states, makes it easier to track productivity, accountability, and reward reps for the work they do.

What’s not talked about as often, however, is the idea that having clear, consistent sales metrics also acts as an internal motivational force.

When sales and lead generation teams have to work with goals that are unclear and poorly defined, it leads to a psychology of paralysis. Time and effort are precious commodities in a sales organization, especially when agents have to constantly reevaluate and prioritize their activities. Sales reps simply don’t have the time to work on “stuff” that isn’t going to produce a real benefit for them and the organization.

But without clearly stated goals, reps are forced to guess what the most important use of their time is at any given point. Should they take that appointment, or get back on the phone? Is this product demo really going to be worth it, or should they be re-contacting that deal that got put on hold last month, but had a lot of potential?

Without a clear indication of how any given action is going to help a sales rep maximize their time (and ultimately the company’s), it leads to frustration and apathy, and most reps in this situation react by going with their gut instinct of what’s going to make them more money, regardless of whether it’s good for the company or prospect.

Good metrics and processes allow managers to be more effective, but don’t forget that a rep who doesn’t know how to get maximum reward is going to have a hard time giving maximum effort.